#FTSE #Nasdaq Increasingly, we warn of a scenario when a price meets and exceeds our initial target ambition. The reasoning is fairly basic. If a price exceeds an initial target, the secondary becomes exceedingly viable, if not inevitable, eventually. Obviously, spanners are occasionally thrown but it’s a good rule of thumb.
On the day RBS hit our 180p (prior report), it actually broke below and bounced (with a remarkable lack of enthusiasm) from 177p. To us, this was not a comforting sign as it once again suggests RBS intends a bottom at 150p. There is, perhaps, a crumb of comfort showing as the uptrend since 2009 (shown in RED) is presently at 168.798p and there’s little doubt any near term fall to this level will doubtless exhibit some sort of rebound, if only due to the number of folk capable of drawing a straight line.
We fear they shall be wrong; the attraction of 150p has been evident for some time. Worse, if 150p breaks, the absolute “it must bounce here” point calculates at 134p. Please remember, this is a retail (and political) bank and perfectly capable of playing by illogical rules.
Of course, perhaps we are being too gloomy in our thoughts and instead, should search for hope amongst this grim collection of numbers. At present, we shall be watching if the share price exceeds 189p as this is supposed to trigger recovery to 196p. While fairly useless as a price movement, if 196p is exceeded, it ticks the first box for “bottom is in”, giving hope we shall witness stronger movement toward 220p and the land of unicorns, princesses, and golden glitter.
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Time Issued |
Market |
Price At Issue |
Short Entry |
Fast Exit |
Slow Exit |
Stop |
Long Entry |
Fast Exit |
Slow Exit |
Stop |
Prior |
|
10:03:37PM |
BRENT |
59.89 |
‘cess | ||||||||
|
10:13:31PM |
GOLD |
1540 | |||||||||
|
10:16:15PM |
FTSE |
7106 |
7046 |
7017 |
6978 |
7093 |
7134 |
7154 |
7197 |
7047 | |
|
10:18:07PM |
FRANCE |
5368.2 | |||||||||
|
10:20:43PM |
GERMANY |
11687 | |||||||||
|
10:29:21PM |
US500 |
2883.52 | |||||||||
|
10:37:09PM |
DOW |
26020.3 | |||||||||
|
10:48:21PM |
NASDAQ |
7576.25 |
7535 |
7488.5 |
7438 |
7594 |
7602 |
7634 |
7680 |
7550 |
‘cess |
|
10:50:22PM |
JAPAN |
20500 |
‘cess |